In the discussion on regional development, small centers and their roles in regional development constitute an important subject of debate. Opinions differ as to their possible contribution to the spread of modernization, the impact on the development of their rural hinterland, their functioning as service centers, and their role in damming the rural exodus. After the critical analysis of the empirical relevance of these views an attempt is made to present an alternative view. This view takes account of the divergent regional contexts of small centers and focuses particularly on their role in highly commercialized and densely populated agricultural regions.